Financial Literacy Quiz 2 ML Modified

Which are components of money management? (CHOOSE 3.)

• storing personal finance and legal records

• creating personal financial statements to measure and assess position and progress

• creating a budget

• going grocery shopping

Which are liquid assets? (CHOOSE 3.)

• money in your savings account

• money in your checking account

• coins in a jar at home

• retirement investments

The equation to calculate net worth:

Assets ​ (a)   ​ (b)   = Net worth

• -
• Liabilities
• +
• Cash Outflows

Which is a cash inflow?

• receive your paycheck

• pay your rent

• buy groceries

Which would appear on a personal cash flow statement?

• student loan payment

• house value

• your net worth

take-home pay = ________

• disposable income

• discretionary income

Which is most useful for creating a spending plan for next month?

• a budget

• a personal cash flow statement

Which are goals of a budget? (CHOOSE 3.)

• help you live within your income

• reach financial goals

• prepare for financial emergencies

• spend your money freely

When you create a personal balance sheet, ​ (a)   is a current liability.

• your monthly credit card bill
• your checking account
• your net worth

Which are sources of income? (CHOOSE 3.)

• salary

• wages

• interest on a savings account

• Social Security taxes